ANNUAL REPORT. Ending March 31, 2011

Transcription

1 ANNUAL REPORT Ending March 31, 2011

2 Corporate Profile Contents

3 Consolidated Financial Highlights Okasan Securities Group Inc. and consolidated SubsidiariesYears ended March 31, 2011 and 2010 Yen U.S.dollars (note) Note: The translation of the yen amounts into U.S.dollars are included solely for the convenience of the reader, using the prevailing exchange rate at March 31,2011, which was =Y83.15 to U.S.$1.

4 Management Policy Okasan Securities Group Inc. and Consolidated Subsidiaries 1. Basic management policy for the Company 2. Basic policy on the distribution of profits and dividend for the term 3. Important management index 4. Medium and long-term management strategy

5 5. Challenges the Company should address 6. Outline of corporate governance structure

6

7 Operating and Financial Review Okasan Securities Group Inc. and Consolidated Subsidiaries Years ended March 31, 2011 and 2010 I. Analysis of operating results

8 1. Fees and commissions received 1Brokerage commissions 2Underwriting fees, selling concessions, and commissions on solicitation for sales of financial instruments to specified investors and others 3Administrative charges on offering, selling and solicitation for sales of financial instruments to specified investors, and other fees and commissions received

9 Fees and Commissions received (Millions of yen except percentage) <A>/<B> (Millions of yen except percentage) <A>/<B> 2. Trading profits Trading profit/loss (Millions of yen except percentage) <A>/<B> 3. Net financial income 4. Other operating income

10 5. Selling, general and administrative expenses 6. Other income (expenses) 7. Dividends II. Analysis of financial position 1. Assets, liabilities and net assets 2. Cash flows <Cash flows from operating activities> <Cash flows from investing activities> <Cash flows from financing activities>

11 Consolidated Balance Sheets Okasan Securities Group Inc. and Consolidated Subsidiaries At March 31, 2011 and 2010 ASSETS TOTAL

12 Consolidated Balance Sheets(Continued) Okasan Securities Group Inc. and Consolidated Subsidiaries At March 31, 2011 and 2010 LIABILITIES AND NET ASSETS TOTAL

13 Consolidated Statements of Income Okasan Securities Group Inc. and Consolidated Subsidiaries Years ended March 31, 2011 and 2010

14 Consolidated Statement of Comprehensive Loss Okasan Securities Group Inc. and Consolidated Subsidiaries Years ended March 31, 2011

15 Consolidated Statements of Changes in Net Assets Okasan Securities Group Inc. and Consolidated Subsidiaries Years ended March 31, 2011 and 2010

16

17

18 Consolidated Statements of Cash Flows Okasan Securities Group Inc. and Consolidated Subsidiaries Years ended March 31, 2011 and 2010

19

20 Notes to Consolidated Financial Statements Okasan Securities Group Inc. and Consolidated Subsidiaries Years ended March 31, 2011 and BASIS OF PRESENTING CONSOLIDATED FINANCIAL STATEMENTS 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES a. Consolidation

21 b. Cash and cash equivalents c. Trading assets and liabilities d. Securities e. Hedging transactions f. Collateralized securities transactions

22 g. Allowance for doubtful accounts h. Property and equipment i. Intangible assets j. Retirement and severance benefits k. Leases l. Income taxes

23 m. Foreign currency transactions n. Directors' bonus o. Asset retirement obligations p. Presentation of comprehensive income q. Reclassifications 3. BASIS OF FINANCIAL STATEMENT TRANSLATION

24 4. TRADING ASSETS AND LIABILITIES Trading assets: Trading liabilities: 5. MARGIN TRANSACTIONS Assets: Liabilities:

25 6. COLLATERALIZED SECURITIES TRANSACTIONS Assets: Liabilities: 7. SECURITIES FOR NON-TRADING PURPOSES

26 8. INVESTMENTS IN AN AFFILIATE

27 9. BORROWINGS

28 10. PLEDGED ASSETS

29 11. INCOME TAXES

30 12. RETIREMENT AND PENSION PLANS

31 13. ASSET RETIREMENT OBLIGATIONS

32 14. FINANCIAL INSTRUMENTS TRANSACTIONS RESERVE 15. SHAREHOLDERS' EQUITY 16. SURPLUS ON LAND REVALUATION

33 17. CAPITAL ADEQUACY REQUIREMENTS 18. SELLING, GENERAL AND ADMINISTRATIVE EXPENSES 19. COMPREHENSIVE INCOME

34 20. PER SHARE INFORMATION (a) Net Income per Share (b) Net Assets per Share

35 21. SUPPLEMENTARY CASH FLOW INFORMATION 22. COMMITMENTS AND CONTINGENCIES 23. LEASES (a) Finance Lease

36 (b) Operating Lease 24. FINANCIAL INSTRUMENTS Conditions of Financial instruments

37

38 Fair value of financial instruments Assets: Liabilities:

39 Assets: Liabilities:

40

41 25. DERIVATIVES Derivatives utilized for trading purposes

42 Derivatives utilized for non-trading purposes

43 26. INVESTMENT AND RENTAL PROPERTY

44 27. BUSINESS COMBINATION 28. BALANCES AND TRANSACTIONS WITH RELATED PARTY 29. SEGMENT INFORMATION

45 Operating revenues, income, assets, liabilities and others by reported segments

46

47 Related information Information of impairment loss on fixed assets by reported segments Negative goodwill incurred by reported segments Segment information for the year ended March 31, 2010

48 Tel: Fax: BDO Toyo & Co. Kandamitoshirocho7, Chiyoda-ku, Tokyo Japan

49

50 Balance Sheets Okasan Securities Co., Ltd. At March 31, 2011 and 2010 ASSETS

51 LIABILITIES AND NET ASSETS

52 Statements of Operations Okasan Securities Co., Ltd. Years ended March 31, 2011 and 2010

53 CORPORATE DATA BOARD OF DIRECTORS (At July, 2011) (At July, 2011) Company Name Date of Establishment Head Office Muromachi Head Office Phone Number Paid-in Capital Subsidiaries Chairman President Senior Managing Director Director Statutory Auditors ORGANIZATION CHART (At July, 2011)

54